DAILY SUMMARY OF JAPANESE PRESS 07/20/06

UNCLAS SECTION 01 OF 11 TOKYO 004042

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SUBJECT: DAILY SUMMARY OF JAPANESE PRESS 07/20/06

INDEX:

(1) Showa Emperor's statements in memo creating stir; May speed up
debate over Yasukuni Shrine issue; Chief Cabinet Secretary Abe:
"Decision to pay homage is up to the prime minister"

(2) Interview with former Deputy Secretary of State Armitage: US,
China should not interfere in Yasukuni issue

(3) 2006 LDP presidential election: Fukuda's next move drawing
attention

(4) UNSC resolution and Japan's diplomacy: Japan stands up to North
Korea's missile threat in earnest

(5) Defense spending likely to trigger controversy in budget
compilation

(6) Window of the World column by Kazuo Ogura: Japan, US should
cultivate universal values first at home

(7) Preparations for beef exports to Japan underway at Creekstone
Farms; Authorization to implement blanket cattle inspection has yet
to be granted

(Corrected copy) Budget request guidelines: Defense spending cut 1%
; Government, ruling camp to treat expenses for USFJ realignment as
exception

ARTICLES:

(1) Showa Emperor's statements in memo creating stir; May speed up
debate over Yasukuni Shrine issue; Chief Cabinet Secretary Abe:
"Decision to pay homage is up to the prime minister"

NIHON KEIZAI (Top play) (Excerpts)
Evening, July 20, 2006

The memo kept by former Imperial Household Agency Grand Steward
Tomohiko Tomita in which he recorded the words of the Showa Emperor
(Hirohito) expressing strong displeasure with the enshrinement of
Tokyo War Tribunal-branded Class-A war criminals at Yasukuni Shrine
has created quite a stir in the government and political circles
today. Chief Cabinet Secretary Shinzo Abe, asked about whether Prime
Minister Junichiro Koizumi would continue to visit the shrine or
not, stated, "It will the prime minister's own decision." Discussion
of the propriety of enshrinement and the argument for separate
enshrinement is likely now to speed up.

Abe, asked by the press about the Showa Emperor having stopped
visiting the shrine after the war criminals were enshrined,
explained: "I understand that the matter was dealt with in the
Imperial Household Agency after carefully considering various
aspects, including the social situation at the time." He made this
statement about the memo: "I received a report from the Imperial
Household Agency that they were unfamiliar with its contents."

Regarding his own feelings about visiting the shrine, Abe only
repeated his stock response about wanting to pay respect to and pray
for those who had died fighting for their country. Regarding the
propriety of enshrinement of the war criminals and the argument to
separate their souls from the shrine, Abe would not reply, saying it
was not appropriate for the government to comment on such. Even on

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the notion of building a secular war memorial, he would only go so
far as to say, "We must cautiously consider such, so that all the
public can go along with it."

The Liberal Democratic Party (LDP) General Council Chairman Kyuma
stressed, "The enshrinement should never have happened." Koichi Kato
also said, "This will give impetus to the argument for separating
the enshrined souls. The best solution is for Yasukuni Shrine to
decide on its own to un-enshrine those souls."

Minshuto (Democratic Party of Japan) President Ichiro Ozawa stated,
"(The Showa Emperor) seemed to strongly feel the war responsibility
of those leaders." Minshuto Secretary General Yukio Hatoyama made
this appeal: "At present, one of the reasons when the Emperor cannot
pay homage at the shrine is because of the problem of war criminals
enshrined there. We must have a national memorial facility where the
Emperor can visit."

Hiroshi Imazu, who chairs the LDP's junior Diet members' forum to
support Yasukuni visits, sought to constrain the spreading of the
argument for separate enshrinement by saying, "The souls cannot be
un-enshrined. Even if the order is given, it is technically
impossible."

(2) Interview with former Deputy Secretary of State Armitage: US,
China should not interfere in Yasukuni issue

SANKEI (Page 1) (Full)
July 20, 2006

Yoshihisa Komori, Washington

In an interview with the Sankei Shimbun, former Deputy Secretary of
State Richard Armitage categorically said that it was improper for
the Chinese government to call on the Japanese prime minister to
forgo visits to Yasukuni Shrine. He also said that the US should not
comment on the Yasukuni issue.

Armitage, who served as deputy secretary of state during the first
term of the Bush administration, dismissed some Japanese people's
view that visits by the prime minister to Yasukuni Shrine have
strained relations between Japan and China. He said:

"As commented on by President Bush, 'Japan-China relations are far
more complicated than just visits to the shrine,' the controversy
Yasukuni issue is not a cause for deteriorating the bilateral
relations but a result of the strained relations."

In reference to improvement in Japan-China relations, Armitage
emphasized: "Not Japan but China should first consider what it
should do."

As the main cause for the strained relations between Japan and
China, he cited this geopolitical view: Because Japan and China,
neither of which was at advantage in terms of national power in the
past, have begun to compete with each other on equal footing,
friction has occurred between them. Armitage said:

"Since two countries in Northeast Asia now have almost the same
level of power for the first time in history, a number of problems,
such as national security and territorial issues, have been
generated."


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With reference to the prime minister's visits to Yasukuni Shrine,
Armitage listed the following three key points: (1) Japan should
determine how to commemorate its war dead, including Class-A war
criminals, as even the bodies of criminals are also buried with
dignity in the US; human beings cannot easily judge the value of the
dead; (2) since China has made use of the Yasukuni issue as a
material to pressure Japan, even if the prime minister stops
visiting the shrine in response to its demand, China supposedly will
pick an argument on another problem with Japan; and (3) although
Prime Minister Koizumi stressed that he visits the shrine in the
capacity of a private citizen, China does not recognize this
concession; this stance underscores that that nation has not focused
only on the Yasukuni issue.

Armitage added: "The Chinese government should not urge the Japanese
prime minister to give up visits to Yasukuni Shrine," labeling
China's demand as improper. He further commented:

"The chief of the government of one country who was elected through
the democratic process should not yield to pressure from a
non-democratic state. There will be no option for Prime Minister
Koizumi to stop visiting the shrine as long as China continues to
express opposition."

Regarding Yushukan, the exhibit hall of Yasukuni Shrine, however,
Armitage stated: "Descriptions attached to showpieces linked to the
war are contradictory to the historical views accepted in Japan and
hurt the feelings of Americans and Chinese." In reference to the
United States' response, he suggested that the US should stay out of
the Yasukuni issue, saying:

"On the Yasukuni issue and how to commemorate the war dead, the US
government should not make suggestions to Prime Minister Koizumi and
his successor. Unofficial advice or opinions might be acceptable."

(3) 2006 LDP presidential election: Fukuda's next move drawing
attention

MAINICHI (Page 5) (Abridged)
July 20, 2006

With the LDP presidential election only two months away, attention
is focused on the activities of former Chief Cabinet Secretary Yasuo
Fukuda, who is regarded as a strong rival to Chief Cabinet Secretary
Shinzo Abe. But in recent months, Fukuda has rarely attended
high-profile events, such as parties thrown by lawmakers, and he has
kept silent about his candidacy. In contrast to Abe, who has been in
the spotlight since North Korea launched its missiles, Fukuda abhors
linking diplomatic activities to the presidential race. Veteran
lawmakers of other factions supporting Fukuda are visibly
perplexed.

In the aftermath of North Korea's missile launches, Fukuda told his
aides: "This is a national crisis. We must not discuss the
presidential race at a time like this." Meanwhile, Abe has boosted
his presence through his telephone conversations with White House
National Security Adviser Stephen Hadley on the UN Security Council
resolution and other issues. Opinion polls also clearly show that
Abe is way ahead of the media-shy Fukuda. The view is prevalent in
the LDP that Abe will win the presidency.

Anti-Koizumi forces envisaging a prime minister Fukuda have begun
doubting his eagerness to run in the race. Fukuda has been

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abstaining from attending any parties or lecture meetings since his
visit to Indonesia in late June. Appearing on a TBS television
program on July 18, former LDP Vice President Taku Yamasaki
indicated that Fukuda in the end would not throw his hat into the
ring. A senior Yamasaki faction member also ruled out the
possibility of Fukuda running in the race, citing his lack of
campaign funds.

At the same time, the view is still strong in the LDP that Fukuda is
just watching whether or not Prime Minister Koizumi visits Yasukuni
Shrine on August 15.

Fukuda, who turned 70 on July 16, told his aides: "I will take
things easy." But former Defense Agency Director-General Seishiro
Eto noted: "When Takeo Fukuda and Kiichi Miyazawa became prime
minister, they were over 70. I think Mr. Fukuda will announce his
candidacy around August 20."

Abe to kick off nationwide tour on July 27

Abe will visit various parts of Japan starting on July 27 to discuss
with local business leaders the issue of their supporting his
"second chance" initiative (by which people who failed in business
or other ventures are given a second chance by society to become
successful).

The series of events will be sponsored by the Parliamentary League
to Support a Second Chance, which Abe chairs. Abe will exchange
views with local business leaders in Tokyo, Kyoto, Osaka, and
Saitama for a total of five days until August 6.

The league will also host a series of events to exchange views
between Abe and local assemblymen at six places across Japan between
July 28 and September 2. The first event will take place in Iwate,
the home turf of Ichiro Ozawa, president of Minshuto (Democratic
Party of Japan).

Abe's book Toward a Beautiful Country (Utsukushii kunie) will come
out today. He plans this to serve as the foundation of his political
vision.

(4) UNSC resolution and Japan's diplomacy: Japan stands up to North
Korea's missile threat in earnest

YOMIURI (Page 13) (Full)
July 19, 2006

Ryuichi Otsuka, New York

On July 15, the United Nations Security Council (UNSC) adopted a
North Korea resolution under Japan's initiative. Last year, Japan
was frustrated in its bid for a permanent seat on the UNSC. What
should Japan learn from the two contrasting experiences?

"It would be fine if we could just get a strong statement from the
chairman or a weak resolution." When North Korea was making
preparations to fire missiles, a Japanese diplomat posted in New
York had such an expectation.

Eventually, the UNSC adopted a resolution of moderate severity. In
Japan, some news companies reported that the UNSC had adopted a
resolution condemning North Korea for its firing of missiles.
However, the UNSC-adopted resolution calls on UN member countries to

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prevent missile-related materials and technologies from being
transferred to North Korea and to stop money from flowing into that
country.

The UNSC resolution is close in substance to a sanctions resolution
against North Korea. In fact, the US and European media called it a
resolution of limited sanctions or weapons-related sanctions.

Diplomacy is a game to find common ground. In this diplomatic game,
one-sided victory or defeat is rare. It is true in particular in an
arena of multilateral negotiations like the United Nations. If a
country could get 60 points, that would be a good showing. This time
around, it may safely be said that Japan got at least 70-80 points.
The government can be proud of the result.

Of course, we should abstain from attaching excessive expectations
on a single resolution. It does not seem to me that North Korea will
mend its ways at once. Even so, it is very significant that the UNSC
or all its five permanent members (P-5) including China unanimously
adopted a resolution. That is because China can no longer protect
North Korea every time it does something reckless.

Furthermore, Japan, declaring the incident a direct threat to its
national security, made desperate efforts for the UNSC's adoption of
a resolution. In the long run, this experience might be even more
significant in itself.

In its draft resolution, Japan referred to Chapter 7 of the UN
Charter. Chapter 7 would pave the way for UN members to use armed
force. I thought of it then as Japan using this warning as part of
its negotiating tactics. Meanwhile, Chief Cabinet Secretary Abe and
Foreign Minister Aso continued with their hard-line remarks. Even
diplomats on the front could not see their true intent. They grew
impatient, thinking that Japan might miss a chance to make a deal.
As a result, however, Tokyo made Beijing compromise time and again.
If Abe and Aso pretended to be tough in their remarks, I must say
their performance was amazing.

Japan has never experienced such developments on the diplomatic
front with China over such a serious issue in the security area. It
was propped up by the strong determination and will of politicians
with the Japanese people standing behind them.

However, Japan has failed to become a permanent UNSC member. In this
case, there was something different behind the scenes.

The strategic reason for Japan's frustration is now clear.

The UNSC is used by the United States to negotiate issues affecting
its national security, including the Iraq war of three years ago,
the Lebanese situation at present, and Iran's nuclear program. As a
permanent UNSC member, the United States is usually engaged in a
hard offensive and defensive battle-as in the case of Japan standing
up to North Korea's missile firing.

Japan, in its proposal to expand the UNSC's membership, advocated
electing countries representing various regions and called on the
P-5 to accept its proposal. The United States, however, will not
accept such overtures. For one thing, a country that may affect the
United States' national security might be elected as a permanent
member on the UNSC. The United States would resolutely exercise its
veto to kill such an idea.


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In my view, Japanese politicians and diplomats, as well as Japanese
media people including myself, might not have been fully aware of
such a severe situation. Moreover, Japan was not ready to go for it.
Of course, Japanese diplomats on the front made desperate efforts.
Even in the Foreign Ministry, however, at least one official was
critical of Japan's approach. Prime Minister Koizumi would not take
advantage of his relations with President Bush, and he did not
appear enthusiastic enough to make the United States become serious
about Japan's UNSC reform proposal.

If that is the case, it is impossible for Japan to become a
permanent member of the UNSC. As Ambassador to the United Nations
Kenzo Oshima tends to say, it is as difficult as making a camel to
go through the eye of a needle.

However, as Ambassador Oshima has noted, the challenge of North
Korea's missile firing this time reminded me of how important it is
for Japan to be seated on the UNSC as its member. Japan's term as a
nonpermanent UNSC member will expire at the end of this year. After
that, Japan will have no choice but to ask the United States to
present resolutions and it will need to ask for information about
what was discussed in the P-5's closed-door talks. Even so, there is
no telling what the US would do. In other words, the United States
does not always help Japan in real earnest.

The missile challenge of North Korea can be an opportunity for us to
rethink the meaning of becoming a permanent UNSC member. Of course,
Japan, if and when it becomes a permanent UNSC member, will have to
commit itself to a crisis in faraway countries, such as the Sudan
and Lebanon. Is Japan ready to face up to such difficult situations?
There will be no way as long as Japan does not make up its mind at
its grassroots level.

(5) Defense spending likely to trigger controversy in budget
compilation

NIHON KEIZAI (Page 2) (Abridged)
July 20, 2006

Defense spending for fiscal 2007 is likely to spark controversy in
the budget compilation process. The Finance Ministry has presented a
plan to reduce the defense budget by 1% from the current fiscal year
against the trend of frontloading the US force realignment cost and
deploying a missile defense system in the wake of North Korea's
missile launches. Calls for setting up a budget slot apart from the
regular defense spending are likely to gain momentum in the process
of making arrangements between the government and the ruling
coalition.

The defense budget for fiscal 2006 is 4.8 trillion yen, of which 45%
are labor costs, leaving little latitude. The US force realignment
costs up to fiscal 2012 is estimated at 3 trillion yen in total, or
500 billion yen annually.

There is an estimate that the deployment of the missile defense
system will cost over 1 trillion yen. The government is considering
deploying the ground-to-air PAC-3 and the sea-based MS-3 missile
systems ahead of original schedule. A shorter deployment period
means greater single-year cost.

Financing those systems with the regular defense budget would
necessitate the major realignment and streamlining of the
Self-Defense Forces' conventional equipment. Defense Agency

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Director-General Fukushiro Nukaga has repeatedly asked for a
separate budget slot, saying that the country's security concerns
not only the Defense Agency.

The Finance Ministry is dismissive of Nukaga's request, thinking
that allowing an exception to defense spending would spoil the
overall spending-cut plan, which is necessary for restoring fiscal
health. The government regards fiscal 2007 as the first year of
fiscal reconstruction, aiming to turn the basic fiscal balance into
the black in fiscal 2011. The government has set guidelines for
budgetary requests for fiscal 2007 lower than those of fiscal 2006,
judging that spending cuts would affect future consumption tax hike
debates.

US force realignment and the threat of North Korea are directly
linked to the country's security. Making adjustments may not go
smoothly. The opinion is being heard in the ruling coalition that
putting finances ahead of national security is preposterous. Chief
Cabinet Secretary Shinzo Abe pointed out the need for the Finance
Ministry and the Defense Agency to discuss the matter first.

The Defense Agency is determined to seek a separate budget in
anticipation of backing from the US government. The matter is not
simple enough to reach a settlement at the administrative level. The
post-Koizumi administration will be pressed to come up with answers
to three major challenges: fiscal reconstruction, economic growth,
and national security.

(6) Window of the World column by Kazuo Ogura: Japan, US should
cultivate universal values first at home

ASAHI (Page 15) (Slightly abridged)
July 19, 2006

By Kazuo Ogura, president of the Japan Foundation

"Japan and the United States stand together... for the advancement
of core universal values."

This phrase is found in the first paragraph of the Japan-US joint
statement released on June 29. According to that statement,
universal values are freedom, human dignity and human rights,
democracy, market economy, and rule of law.

A large number of people would agree that Japan and the US share
those values. But I wonder whether the two countries are qualified
to proudly declare they will advance them in other countries. Their
relations with Asian countries in this regard are problematic.

"Asia's historic transformation is underway, creating a region that
increasingly embraces the universal values of democracy, freedom,
human rights, market economy, and rule of law," the joint statement
declares.

I wonder if that is true? Democracy and market economy, from a
long-term perspective, seems to be making progress in Asia. But
young people in South Korea see the US, not North Korea, as the
overwhelming threat. And China may become a stakeholder, but it
falls far short of a country that can share values with Japan. In
addition, Japan's self-reflection on its past colonial rule and its
war responsibility are essential if it intends to share values with
the rest of Asia.


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Despite these complex circumstances, Japan and the US appear to be
trying to deal with Asia only with the theory of advancing freedom,
democracy, and market economy in the region. Well then, what methods
are necessary if they actually plan to do so? In order for them to
share values with Asian countries, I think it is indispensable for
them to do at least two things.

First, Japan, China, and South Korea should make more efforts to
share many more perceptions. China needs to advance democratization
and respect human rights, and South Korea should break with
authoritarianism and ethnocentrism, and Japan should deeply reflect
on the past. Japan must refrain from assuming a hypocritical
attitude in Asia.

Japan and the US have taken a tough line against North Korea for its
missile launches, and this attitude is only natural and a matter of
course. The North's missile launching is a menace to the peace and
security of the Far East. That country's attitude also dampens the
international efforts to grapple with the nuclear proliferation
issue. More importantly, the North's missile launches and its
response to the abduction issue absolutely go against Japan's creeds
of pacifism and democracy, the values Japan has fostered in
reflecting on World War II. That's why Japan and the US can assume a
tough posture toward North Korea.

Given the present-day international situation, it is almost
self-evident that concluding a strategic alliance between Japan and
the US is effective and beneficial. It is also self-evident that
such an alliance is one that can defend democracy and freedom. But
the two countries must deepen those values internally first before
further sharing them.

The US has made no self-examination on its disregard for human
rights at the Guantanamo Bay facility, and Japan has failed to
cultivate the values of democracy and human rights while reflecting
on its past. If these two countries declare they share those values,
what they call common values would be viewed as a cloak to conceal
the nature of their military alliance or viewed as hypocrisy.

I think the sharing of the values will be advanced only through the
sharing of an experience.


Kazuo Ogura: has served in such posts as ambassador to South Korea
and ambassador to France; is a special guest professor of Japanese
diplomacy at Aoyama Gakuin University; is a member of the Asahi
Shimbun think tank, Asia Network; and is 67 years old.

(7) Preparations for beef exports to Japan underway at Creekstone
Farms; Authorization to implement blanket cattle inspection has yet
to be granted

TOKYO SHIMBUN (Page 3) (Excerpts)
July 20, 2006

Inspections of meatpackers by Japanese government officials are now
underway in various parts of the US. The aim of such inspections is
to check whether cattle are being properly processed. The
inspections are expected to be completed on July 21. If no problems
are found, US beef imports will likely resume as early as this
month. The reporter visited the actual scene where the cattle are
slaughtered.


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Creekstone Farms is located in Kansas, which is known as a major
livestock state. Preparations for resuming beef exports to Japan are
now underway there.

Since shortly after the embargo was placed on US beef exports this
January, the company has increased its on-the-job training,
including the removal of specified risk materials (SRM),such as
vertebral columns, which are believed to be a BSE disease risk. It
is doing its utmost to make its employees familiar with conditions
for exporting products to Japan.

Japanese inspectors visited the plant on July 11 and 12. Two
inspectors each from the Ministry of Health, Labor and Welfare and
the Ministry of Agriculture, Forestry and Fisheries, joined by
officials from the US Department Agriculture (USDA),examined the
method of slaughtering and shipment records. They checked
antibacterial measures against colon bacilli and salmonella, and the
method of removing SRM. CEO John Stewart was confident in his
management of the plant, noting: "The inspectors did not make any
special comment, but I got the impression that the inspections went
smoothly. I am optimistic about the outcome." The embargo was placed
in December 2003, following the discovery of a BSE infected cow in
the State of Washington. Before that, the company had exported more
than 20% of its products to Japan.

The company decided to carry out blanket cattle testing similar to
the one adopted in Japan. It invested a total of 1 million dollars
(approximately 17 million yen) to introduce an inspection system,
including the cost of employing inspectors and constructing
inspecting facilities.

However, the US government, which insisted in trade resumption
negotiations with Japan that there are no scientific grounds for
blanket cattle inspections, firmly turned down the company's
application for implementing such an inspection method. The company
then brought a lawsuit against USDA, seeking authorization for the
implementation of blanket testing. Steward is trying hard to regain
trust in US beef in the belief that it is the best way to eliminate
anxieties harbored by Japanese consumers. Creekstone is trying to do
business in a manner that caters to Japanese consumers. However,
such a company is an exception in the US. The top four companies
that are estimated to manufacture more than 80% of processed beef
products in the US are opposed to the idea of implementing voluntary
blanket cattle testing.

Backed by the beef industry's powerful political clout, the Senate
has heightened its pressure on Japan. As part of such a move, it
adopted a retaliatory tariff intended to increase levies on Japanese
products in the event beef trade does not resume by the end of
August.

Interview with Creekstone CEO Stewart

-- Why is the USDA negative toward carrying out voluntary
inspections?

"The government sometimes becomes too close to those it regulates,
and its thinking becomes about the same as that of the industry. The
leading four beef producers, which dominate more than 80% of the
market, do not want to implement voluntary inspection, and the USDA
listened to them. That is because such inspection costs are high."

-- How much would it cost?

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"It is said that profits a beef processing company makes per head
are 170 dollars (approximately 20,000 yen) on average. The
production cost is approximately 150 dollars. There would be no
profits if a processing company carried out a voluntary inspection,
because it would cost 20 dollars per head.

Creekstone thinks that it needs to please its customers. We know
that our customers are willing to share that cost. The export share
of our products is high, while that of those four companies is low.
Their target is the domestic market. It appears that domestic
customers are not yet ready to accept blanket testing."

-- How do you intend to guarantee Japanese customers the safety of
your products until the lawsuit is over?

"We are searching for every measure except for blanket testing. We
are certain we will win the lawsuit. We intend to continue to seek
approval of voluntary blanket testing. We can start tests within a
week after the court hands down its decision. We will be able to
ship self-inspected products to Japan in early November."

(Corrected copy) Budget request guidelines: Defense spending cut 1%
; Government, ruling camp to treat expenses for USFJ realignment as
exception

MAINICHI (Page 2) (Almost Full)
July 20, 2006

The government and the ruling parties yesterday agreed to cap the
fiscal 2007 general account budget at 46.8 trillion yen. According
to the guidelines, growth in social security expenditures will be
held to 550 billion yen. Defense-related spending and subsidies to
private schools will also suffer a 1% cut from the previous year.
Other spending items, such as discretionary expenditures and
public-works-related spending, will be slashed 3% from the previous
year. As a result, the overall increase over the previous year's
budget will be held to 440 billion yen. As part of a plan to jointly
reform revenue and expenditures, certain budgetary items have been
slated for cuts over the next five years, meaning that the budget
request guidelines for fiscal 2007 have been set in a more detailed
manner than in the past.

The guidelines set a 220 billion yen cut in public works
expenditures from the preceding year and a 140 billion yen reduction
in other expenditures, though 200 billion yen was allocated to cover
the cost of the Upper House election next summer and 50 billion yen
for priority spending items. As a result, general account
expenditures will expand by 440 billion yen from the previous year,
but the Finance Ministry intends to further cut expenditures in the
budget compilation process at the end of the year.

For the promotion of efficiency and prioritization of spending
items, the guidelines incorporated a 1% cut in subsidies to public
utility corporations, standardizing discretionary contracts with
public utility corporations, and reducing subsidies to local
governments.

As exceptions to the budgetary cap, the government and the ruling
camp will discuss expenses for the USFJ realignment and a revision
of child allowances as part of measures to deal with the declining
birthrate in a separate framework in the run-up to the year-end
budget compilation.

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The government will present the budget request guidelines to the
Council on Economic and Fiscal Policy, which is to meet on the 20th,
and adopt it at a cabinet meeting on the 21st. Each government
agency will submit budgetary requests by the end of August.

SCHIEFFER